Vossloh expands service portfolio in Northern Europe through acquisition of Scandinavian Track Group (STG)
EQS-News: Vossloh Aktiengesellschaft / Key word(s): Takeover
Vossloh expands service portfolio in Northern Europe through acquisition of Scandinavian Track Group (STG)
21.05.2024 / 09:30 CET/CEST
The issuer is solely responsible for the content of this announcement.*Vossloh expands service portfolio in Northern Europe through acquisition of Scandinavian Track Group (STG)*
· *STG is a leading company in the fields of switch services and track-specific welding services in Sweden*
· *The acquisition completes Vossloh's range of services and will cover the entire life cycle of switches in the future *
· *The transaction represents a major step towards a circular economy and supports the Group's sustainability strategy*
*Werdohl, May 21, 2024.* Vossloh signed an agreement with the owners of its long-standing business partner Scandinavian Track Group (STG) to acquire the group. STG is a renowned provider of a broad portfolio of services with a sales focus on the fast-growing and strategically important Swedish rail infrastructure market.
STG offers various maintenance services for the rail track. STG is the market leader in Sweden for services relating to switches, such as their installation or maintenance, as well as for sophisticated welding services on the rail track. STG also offers a wide range of inspection consulting services based on its extensive technical expertise.
The purchase and refurbishment of used switches and other track components for resource-saving reuse completes STG's offering. The acquisition thus fits seamlessly into Vossloh's sustainability strategy and expands the service portfolio in the area of the circular economy. In the future, Vossloh will be ideally positioned in this region to offer the complete value chain of switches, from development and production to maintenance and the reconditioning of used switches.
"STG fits perfectly to our portfolio, offers many synergies and strengthens our position in the innovative Swedish and, in the long term, Scandinavian market. The acquisition follows our one-stop-shop approach, according to which we offer our customers tailor-made solutions across all divisions. In this way, we can fully utilize our strengths, further differentiate ourselves from the competition and offer our customers decisive added value from a single source. We are particularly pleased to welcome STG, a long-standing business partner, as a new member of the Vossloh family," says Oliver Schuster, CEO of Vossloh AG.
The acquisition is expected to be completed in mid-2024 and is subject to the approval of the transaction by the Swedish Competition Authority and the Swedish Ministry of Economic Affairs. STG employs around 120 people, generated the equivalent of €22.3 million in sales revenues in the 2023 financial year and will strengthen the Lifecycle Solutions division in future.
Jan Furnivall, COO of Vossloh AG, comments: "I also warmly welcome the new colleagues to Vossloh and am convinced that we can quickly grow together into an even more powerful team thanks to our long-standing and successful partnership. Our common goal is to provide our Scandinavian customers with an even wider range of customized solutions for the life cycle of rails and switches in the future."
Vossloh is already represented by various subsidiaries in Northern Europe. The largest of these is Vossloh Nordic Switch Systems, which belongs to the Customized Modules division and is based in Sweden. Here, more than 185 employees produce switch systems for the Scandinavian market and for export. In addition, the subsidiary Vossloh Rail Services Scandinavia, based in Örebro, Sweden, which is part of the Lifecycle Solutions division, provides comprehensive services related to the maintenance of rails and switches. In the 2023 financial year, Vossloh generated sales revenues of just under €140 million in Northern Europe. Vossloh expects demand in this market to continue to rise in the future.
Vossloh
*Contact details for the media:*
Andreas Friedemann
Phone: +49 (0) 2392 52-608
E-Mail: Presse@vossloh.com
*Contact details for investors:*
Dr. Daniel Gavranovic
Phone: +49 (0) 2392 52-609
E-Mail: Investor.relations@vossloh.com
Vossloh is a global technology group that has stood for quality, safety, customer focus, reliability and innovation for around 140 years. With its comprehensive range of products and services for the rail track, Vossloh is one of the world market leaders in this field. Vossloh offers a uniquely broad range of products and services under one roof: Rail fastening systems, concrete ties, switch systems and crossings as well as innovative and increasingly digital-based services for the entire life cycle of rails and switches. Vossloh uses its systemic understanding of the track to address the central customer need of "rail track availability".
Vossloh products and services are in use in more than 100 countries. With around 75 Group companies in almost 30 countries and over 40 production locations, Vossloh is active locally worldwide. Vossloh is committed to sustainable corporate governance and climate protection and makes an important contribution to the sustainable mobility of people and goods with its products and services.
The Group's activities are divided into three divisions: Core Components, Customized Modules and Lifecycle Solutions. In the 2023 financial year, Vossloh generated sales revenues of €1,214.3 million with around 4,000 employees.
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21.05.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG.
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Language: English
Company: Vossloh Aktiengesellschaft
Vosslohstr. 4
58791 Werdohl
Germany
Phone: +49 (0)2392 52 - 359
Fax: +49 (0)2392 52 - 219
E-mail: investor.relations@vossloh.com
Internet: www.vossloh.com
ISIN: DE0007667107
WKN: 766710
Indices: SDAX
Listed: Regulated Market in Dusseldorf, Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1907093
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